close
Share with your friends

Retirement income framework development: KPMG's submission to Treasury

Retirement income framework: KPMG's submission

On 15 June 2018, KPMG lodged a submission to the Federal Treasury in response to the Retirement Income Covenant Position Paper – Stage One of the Retirement Income Framework (May 2018). In our submission, KPMG expressed support for the establishment of a Retirement Incomes Framework which aligns to the objective of superannuation, while recommending further consideration of product design and advice models.

1000
Linda Elkins

National Sector Leader – Asset & Wealth Management

KPMG Australia

Contact

Also on home.kpmg

Senior couple walking through sand dunes near beach in winter

On 19 February 2018 the Minister for Revenue and Financial Services announced the establishment of a consumer and industry advisory group to assist in the development of a framework for Comprehensive Income Products for Retirement (CIPRs).

In the 2018-19 Federal Budget More Choices for a Longer Life Package the Federal Government committed to introducing a retirement income covenant as the first stage of the Government’s proposed retirement income framework.

On 17 May 2018 the Federal Treasury released a Retirement Income Covenant Position Paper which detailed a series of Covenant Principles and Supporting Principles for consultation.

KPMG's submission

KPMG’s observations and recommendations submission is supportive of measures proposed in the Position Paper that result in:

  • more education to members to enable them to make informed decisions
  • flexibility in the advice model
  • flexibility of product design.

 

Our submission discusses observations and concerns regarding matters including:

  • consumer protection versus trustee safe haven
  • two tier advice model
  • cross-subsidisation of advice (retirement advice via intra fund).

©2021 KPMG, an Australian partnership and a member firm of the KPMG global organisation of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organisation.

Liability limited by a scheme approved under Professional Standards Legislation.


For more detail about the structure of the KPMG global organisation please visit https://home.kpmg/governance.

Connect with us

 

Want to do business with KPMG?

 

loading image Request for proposal